This study extends previous research on perceived value by including the role of perceived risk within a model of the antecedents and consequences of perceived value. The model was tested in a hotel setting using a sample of consumers actively looking...
This study extends previous research on perceived value by including the role of perceived risk within a model of the antecedents and consequences of perceived value. The model was tested in a hotel setting using a sample of consumers actively looking for hotel services. Empirical results confirmed that not only do perceived service quality lead to perceived value for money in a service encounter but that this quality component reduces perceived risk. Perceived risk was found to play an important role in the perceived service quality. Perceived relative price and hotel name were also found to play an important role in the perceived value for money and perceived service quality. Lastly perceived value for money affected willingness-to-buy. The results obtained have major implications for hotel managers as well as for future research in this strategically important area of consumer research.